Tesla Targets Huge Expansion in China

U.S. electric carmaker Tesla Motors Inc. plans to open about 100 service centers in China by the end of 2015, accounting for roughly one-third of its facilities worldwide. The company predicts 40% of its global sales will be in Asia within a few years.

Tesla introduced its Model S electric sedan in China in April, where shipping and local fees push the price of the $75,000 American-made car to more than $121,000. CEO Elon Musk tells analysts that tight supplies of the car has forced the company to mute its marketing efforts in China in spite of brisk demand.

Musk says Tesla sales in China also have been hampered because the central government finalized charging system standards unique to the country only last month.

The company, which sold 22,500 Model S cars last year, says it is on track to build 35,000 this year at its factory in California. The facility suspended production in mid-July to add capacity for the company's new Model X electric crossover vehicle due early next year. Output is expected to resume next week.

Tesla predicts it will achieve an annualized global sales rate of 100,000 vehicles by the end of 2015, with volume split evenly between its two models.

The company introduced the Model S in Europe last autumn.